In Stage 1 the aim was to investigate the challenges and opportunities the Zooglies brand would face when launching in July 2013, looking to identify how they could overcome the problems and embrace the opportunities to make the launch a success.
The five major challenges the brand will tackle were as follows: Child safety and gaining the parents trust The outdated freemium business model Competition from Moshi Monsters Supporting Zooglies across different platforms Loyalty The five major opportunities the brand could benefit from were as follows: The number of 5-10 year olds playing on online virtual worlds has increased from 77 to 355 million Improving quality of online content; 3G, 4G, broadband and accessibility Organic and viral marketing Partnerships with supermarkets The emerging app market
Through a variety of strategic and innovate methods of primary and secondary research this project has outlined a detailed market entry strategy for the Zooglies brand; focussing on the launch of the mobile/tablet application and online virtual world. After contacting Paul Ellis it was clear that the brand had already decided on their range plan and pricing strategy. Therefore it has been proposed that they distribute online, in supermarkets and department stores to compliment the application and OVW launch.
In order to attract customers as a technologically superior brand and differentiate from strong competitors, Zooglies should highlight the following USPs: - The multiplatform strategy - The micropayments needed for microtransactions - Rewarding creativity through the YouTube mini TV series - Zooglies @ the Zoo - ‘Live’ Facebook and Twitter responses
The multiplatform strategy As well as being able to play games on the mobile/ tablet application, children will be able to scan an interactive logo from the clothing range to create an augmented reality (AR) experience. The Zooglies app is not only a game, but an interactive reality for children to play, communicate and digitally manipulate their character through, as they can then use this virtual character to interact in an exciting online virtual world and share the fun with their friends.
To use this printable marker go to http://www.laboratory4.com/arfashion/ and follow the instructions.
Printable markers would be used to enable those without Zooglies garments to engage with the AR interface using their webcams and devices. Every aspect of the multiplatform strategy is designed to reduce the likelihood of children becoming bored and moving onto other worlds as an increased level of interactivity will promote loyalty and viral marketing between users across the UK. The Micropayments Needed For Microtransactions Users who are most likely to be monetized are most likely already being monetized elsewhere, i.e. a competitor virtual world. As a new OVW, Zooglies has to shift the user’s attention away from the competitors and move them to their world. The propensity for parents to purchase multiple monthly subscriptions is virtually zero (KZERO 2011, online), due to the issue of switching costs and an unwillingness to be paying for two at the same time. Microtransactions would allow Zooglies to attract new consumers without requiring them to make a commitment. Instead they would be enticed by the micropayments and then the subscription or membership could follow once a relationship with the brand has been established. It has been proven that they can convert three times as many users as subscription-only worlds and have a monthly average revenue per person (ARPU) that is typically 20% higher (KZERO 2011, online).
Rewarding Creativity Through The YouTube Mini TV Series Moreover, although some parents may be sceptical at first, with the right communications between the brand and consumers the YouTube series would be highlighted as a way to promote creativity amongst children and a rewarding experience for them when their ideas are chosen. Moshi Monsters gained over 70% of their subscribers through viral/organic channels (Ellis 2012, online) and Zooglies would benefit from taking advantage of the popularity of the video sharing site. Zooglies @ the Zoo The Zooglies @ the Zoo campaign comprises of the pre-launch competition, promoted primarily via the touring pop-up stands, and the exciting launch event for press, VIP guests and a selected few early adopters. Pop-up stands in 12 ASDA stores and 6 shopping centres nationwide would bring the world of Zooglies to children all over the UK. Using tablets and mobile devices, users would be able to engage in the innovative 4D AR experience, interact with the characters both through the app and on the online virtual world and preview the clothing range; the tour will boost brand awareness pre launch in locations that will soon be stocking the products.
Zooglies pop-up stands will be placed around the zoo for all visitors.
Furthermore, to create a pre-launch buzz, the competition would run in line with the YouTube series. For 1 month beforehand children will be encouraged to create storyboards and not only be acknowledged on the ‘Star Player’ page and receive the usual benefits, but they stand the chance to win tickets to the Zooglies @ the Zoo launch event at London Zoo. The event will differentiate from others as it will be open for guests to invite their families. Press in particular are invited for free drinks and dinner on a regular basis, whereas a day out at the zoo will give them the opportunity to spend time with their partners and children around a short presentation. This strategy is more likely to leave a lasting impression and excite their families as well as them.
‘Live’ Facebook and Twitter responses As well as showcasing the innovative technology to consumers and enticing them into the exciting world of Zooglies, it is important to address issues regarding safety and the internet. Online contracts would begin the process of educating not only the children but the parents as well, as to how it is best to stay safe on the internet. Then in addition to this, ‘live’ Facebook and Twitter responses would be available for access 24/7 where consumers will be invited to discuss issues they have with any Zooglies platform. Rather than having a formal system this would create a friendly atmosphere for the parents to talk as individuals and a group and receive feedback from a brand representative within 30 minutes of posting/tweeting.
To conclude when launching into the UK as a new company, using this market entry strategy outlined, Zooglies could become one of the most popular mobile application and online gaming specialists nationwide. By emphasising the technological benefits to parents and children, creating the markets first ever 4D augmented reality gaming app and communicating with parents effectively, Moshi won’t be such a scary monster of a competitor.